The UAE-based Dana Gas made a net profit of $140 million for the quarter ended September 30, 2021 compared with a net loss of $360 million in the year-ago period on higher oil prices, improved operational performance and other income.

The Q3 profit included ‘Other Income’ net of impairments of $103 million. Q3 2020 included an impairment of $373 million related to Egypt assets, the energy company said in a statement on the Abu Dhabi Securities Exchange where its shares trade.

Gross revenue came in at $118 million, a 46 percent increase compared with the $81 million for the same quarter in 2020.

The higher revenues came on the back of 77 percent higher realised prices during the period, Dana said.

The Sharjah-based company had earlier proposed a hike in annual dividends by 27 percent, payable twice yearly. A general assembly meeting will be held on the 9 December 2021 to approve the first interim dividend of 3.5 fils per share, up from the existing 5.5 fils, to be paid in December 2021, it said. 

Dana Gas CEO Patrick Allman-Ward said the company’s production in the Kurdistan Region of Iraq (KRI), grew by 7 percent and is on track with its expansion plans, with first gas from the KM250 project scheduled for April 2023.

"In Egypt, a five-well drilling program has been concluded and the additional production has almost entirely offset natural well declines. Our strong production and robust operational performance, coupled with high oil prices, has resulted in a much stronger financial position."

For the nine-month period, it posted a net profit of $279 million compared to a loss of $379 million in 9M 2020, the largest regional private sector natural gas company said.

(Writing by Brinda Darasha; editing by Daniel Luiz) 

brinda.darasha@refinitiv.com

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